Aitken Spence achieves 33% growth in 2Q PBT from non-tourism sectors
View(s):Aitken Spence PLC’s non-tourism sectors reported a Profit-Before-Tax (PBT) of Rs. 1.13 billion in 2Q2020/21, a growth of 33 per cent compared to the previous year in the midst of challenging economic conditions. These sectors also reported an EBITDA (Earnings Before Interest Expense, Tax, Depreciation and Amortisation) of Rs. 1.59 billion prior to the impact of forex compared to 2Q of the previous year, the group said in a media release.
Its non-tourism sectors continued their positive performance since commencement of full operations after the lockdown in May 2020. The non-tourism sectors include companies in the plantations, renewable energy, maritime and freight logistics, apparel, insurance, elevator agency, printing and packaging, money transfer and maritime education and management segments.
The group’s new venture, Sri Lanka’s first waste-to-energy project with an investment of Rs. 13 billionwill commence operations by the end of the year, overcoming all setbacks experienced due to the COVID-19 pandemic. This project will provide a sustainable solution to the Colombo city’s waste management problem whilst adding renewable energy to the country’s energy profile.
The group’s tourism sector EBITDA for 2Q was a loss of Rs. 940 million since it was largely affected by curtailments in international travel that impacted the group’s destination management, hotels and airline GSA. However, these companies commenced operations post-lockdown by serving the local customers and introduced new and exciting experiences to serve this clientele. By offering customised excursions with unique experiences to the local market, the destination management segment of the group handled nearly 9,000 local clients during the quarter.
Aitken Spence Group recorded an EBITDA of nearly Rs. 600 million for both tourism and non-tourism sectors for the quarter. The group recorded a loss from operations of Rs. 0.8 billion for the second quarter compared to the profit from operations of Rs. 1.1 billion recorded in the same quarter of the previous year. The Profit-Before-Tax (PBT) for the second quarter was a loss of Rs. 1.3 billion compared to a profit of Rs. 0.7 billion in the previous year.